Want to go limited but not pay acct. fees when I'm not billing...

[Kanye]

Tight bugger. It will only cost around £1200 a year which isn't much even if you only bill for 6 months of the year. Plus that £1200 will cost less than PAYE or umbrella fees.

[TheCyclingProgrammer]

Well all I'm after is incorporation, open bank A/c, EoY/Tax Return and tax-efficient payroll. I myself can do the first two if need be. I can understand it all costing a grand but at the mo I'm being quoted 3k....taking consideration of the fact I might only invoice+pay myself 6-9 months I'd like that figure reduced a bit, to say the least.


Could also do without some ominously unquantified 'quote' for shutting down the company if I stop contracting!!

£3k is outrageous. If you PM I'd happily point you in the direction of my accountant who will do you a yearly service for under £1k a year.

[DirtyDog]

£3k is outrageous. If you PM I'd happily point you in the direction of my accountant who will do you a yearly service for under £1k a year.

I'll do it for £2k and subcontract my accountant to do it for under £1k. Everyone's a winner!

[d000hg]

Not much nice about having to pay a £50 'Maintenance Fee' when I'm benched over the warmer months.

The work your accountant has to do is 99% not related to the invoices you submit.

It is a fixed cost to do your accounts. You could try finding a local firm to do simple one-man-company accounts more cheaply, but they will likely not be able to advise you on IR35 and other PSC stuff, they'll just run it like you're a regular small business.

Look up local accountants and ask.

I have had one of the big contractor accountants tell me they could offer a reduced fee if the company is very simple indeed, or not trading, but that would come down to you negotiating with your existing accountant, I doubt anyone wants to sign you up on that basis.

[d000hg]

Tight bugger. It will only cost around £1200 a year which isn't much even if you only bill for 6 months of the year. Plus that £1200 will cost less than PAYE or umbrella fees.

£1200 is a fair amount though, just because you earn a lot doesn't stop it being a non-trivial sum. There are loads of small businesses, proper Ltds, who turn over £50k or considerably less, and make the owner £20k profit a year... they probably don't pay this much because it would be a crippling expense.

When you think about it, £1200 is ~4 days billing for you... do you think your accountant does 4 man-days on you each year?

[eek]

While I'm a fine one to talk as I do my own accounts nowadays the work required is the same whether the company turns over £1 or £125,000 (carefully picking a figure below the flat rate vat limits).

As such why do you think an accountant should charge a lower amount? Regardless of the fact that by charging a rate based on turnover they may open themselves to a different set of issues....

Mind you £3k is taking the mickey.

[d000hg]

I think you can argue it both ways really. a)It's a fixed amount of work so cahrge the same regardless. b)where in economics does it say you have to charge everyone the same fee for the same work?

One could make a business case for offering lower fees for businesses with a turnover under some threshold, simply to attract customers who you wouldn't normally get, if you have spare capacity.

Business banking offers different products and charges depending on how big you are - granted the levels are typically <£500k, £500k - £5m, £5m - 100m which is a little different

[riffpie]

I'm not even in my house for the time I'm at work. How can I avoid paying rent for that time?

[inniAccounts]

In our experience, the amount of work involved in supporting contractors does differ, but not based on how much / how often they're invoicing. We still need to produce your accounts and tax comps, and more than likely submit your VAT returns, make RTI submissions, keep on top of your deadlines and deal with HMRC.

The only exception is if you're not trading for an entire FY, as in this scenario the work involved at the end of the year is greatly reduced - especially if you de-register for VAT and PAYE. We offer discounts for clients in this position, as do some other accountants. However this isn't appropriate if you're on the bench for just a few months.

And as for £3,000k for your accounts - we'll happily price match, and as a sweetener we'll give you £2,052 cash back. Deal?